There must be knowledge before there can be methods.
The conditions for entering the cryptocurrency market are low, and the capital threshold is low. You can enter with a phone number and 100 RMB of capital. Taking A-shares as an example, the proportion of accounts with less than 100,000 in 23 years is 72%. In the cryptocurrency circle, it is very likely to reach 92% or even more.
Small capital means small long-term returns, so it cannot be held for a long time. For small capital, only short-term transactions can improve capital utilization and thus achieve personal expectations. Most people here have realized that short-term trading has high risks and a small profit and loss ratio, but due to funding issues, they cannot engage in long-term trading. It has nothing to do with technology. It is like everyone knows that working for a part-time job has more stable income than starting a business, but they still choose starting a business with greater risks.
There is a paradox here. The market is extremely biased in regarding the length of the trading cycle as being absolutely linked to whether or not it is profitable. It is ridiculous that only long-term investment can make money. There are more reasons why long-term investment affects operations, and position management is also quite demanding. Long-term investment is not a straight line. People always think that they can get rich by sitting still. They imagine their mentality as Livermore, opening a position to go fishing on vacation. Mentality is important, but without technology, no matter how good the mentality is, it will not last long. Imagine what would have happened if Buffett had not chosen US stocks but A-shares. The result is that if the 20-year-old Buffett could have waited a little longer.
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